Axis Bank net dips 16% in Q1

Little support from interest income weighed on net profit, though it bettered Street's expectations

Private sector lender Axis Bank reported a 16 per cent year-on-year (y-o-y) fall in net profit to Rs 1,306 crore in the June quarter (Q1) on the back of flat net interest income (NII). NII, which is interest earned minus interest expended, rose 2.2 per cent in Q1 to Rs 4,616 crore from Rs 4,517 crore a year ago. However, non-interest income at Rs 3,000 crore, up 9.6 per cent y-o-y in Q1, came in handy for the bank. 

Net interest margins (NIMs; a key profitability indicator) stood at 3.63 per cent in Q1 against 3.67 per cent in the